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Journal of Housing and the Built EnvironmentVolume 28, Issue 3, September 2013, Pages 417-433

Exploring the role of the neighbourhood in firm relocation: Differences between stayers and movers(Article)(Open Access)

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  • aFaculty of Geosciences, Urban and Regional Research Centre Utrecht, Utrecht University, P.O. Box 80.115, 3508 TC Utrecht, Netherlands
  • bDepartment of Geography, Spatial Planning and Environment, Institute for Management Research, Radboud University Nijmegen, Nijmegen, Netherlands

Abstract

Most firm relocations take place across rather short distances, indicating that firms are in general quite place-attached. Still, at the local level, weaker neighbourhoods are characterised by relatively high firm out-migration figures, which may be the result of unfavourable local business conditions. Through a qualitative study of 40 entrepreneurs from weaker neighbourhoods, equally divided between firms that relocated (movers) and firms that did not (stayers), this paper studies to what extent characteristics of the neighbourhood itself influence either past firm relocation decisions or future firm relocation propensity. The results show that the neighbourhood plays only a modest role in firm relocation decisions and propensity, and when neighbourhood characteristics are mentioned as push factors, they are in general outweighed by investments or relocation costs in the decision-making process. Because most firm relocation decisions, both in the past and in the future, are related to aspects of the business property, rather than consequences of other neighbourhood characteristics, maintaining or creating a diverse supply of business properties within a neighbourhood may prevent most potential movers from leaving the neighbourhood much more than neighbourhood liveability improvement measures. © 2012 Springer Science+Business Media B.V.

Author keywords

EntrepreneursHome-based firmsNeighbourhoodRelocation

Indexed keywords

GEOBASE Subject Index:decision makingentrepreneurlocation decisionneighborhoodrelocationspatial analysis
  • ISSN: 15664910
  • CODEN: JHBEA
  • Source Type: Journal
  • Original language: English
  • DOI: 10.1007/s10901-012-9317-2
  • Document Type: Article

  Sleutjes, B.; Faculty of Geosciences, Urban and Regional Research Centre Utrecht, Utrecht University, P.O. Box 80.115, Netherlands;
© Copyright 2013 Elsevier B.V., All rights reserved.

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